OYO parent PRISM posts Rs 748 crore profit ahead of Rs 6,650 crore IPO
OYO's parent PRISM (Oravel Stays) reported Rs 748 crore net profit for nine months ended Dec 2025, but a Rs 559 crore deferred-tax credit flatters the figure versus Rs 245 crore FY25 profit. The Rs 6,650 crore fresh issue largely funds debt, with Rs 4,987.5 crore earmarked for repayment.
What happened
Oyo · OYO parent PRISM reported Rs 748 crore profit for nine months ended Dec 2025 ahead of its Rs 6650 crore IPO, though much came from a deferred-tax credit.
Key facts
- Rs 748 crore profit (9M Dec 2025)
- Rs 245 crore FY25 profit
- Rs 6650 crore fresh issue
- Rs 559 crore deferred-tax credit
- Rs 1,594 crore operating cash flow
- Rs 4,987.5 crore debt repayment
Why this matters
PRISM's debt-heavy capital structure and reliance on tax credits to show profitability signal a stressed asset whose valuation will hinge on post-IPO deleveraging rather than organic earnings.
What to watch
- Final price band and anchor book subscription levels
- QIB vs retail subscription multiples on listing days
- Quarterly core-EBITDA and recurring net profit ex-tax-credit disclosures
- Actual debt repaid and resulting interest-cost reduction post-issue
- GMP (grey market premium) trajectory pre-listing
- Underwriters emphasize post-IPO interest-cost savings and adjusted operating profit in roadshows
- OYO management frames deferred-tax credit as a sign of expected sustained profitability
- Anchor investors negotiate harder on price band given thin recurring earnings
- Competing budget-hospitality and travel-tech names watched for valuation read-through